State Politicians Explain Need for 'Amazon Tax'

Online retailer Amazon.com has begun gathering signatures for a vote against a new California law that requires out-of-state companies to collect sales tax from customers within the state.

The law, authored by Assemblyman Bob Blumenfield (D-San Fernando Valley), is projected to help California collect an additional $200 million annually, but Amazon has said it would hurt the Internet-only company's ability to compete in the nation's biggest retail market.

Blumenfield and state Sen. Fran Pavley (D-Agoura Hills) explained the controversial issue during their visit to the Encino Chamber of Commerce's Business and Professional Development lunch on Tuesday afternoon.

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